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Arroyo's Husband and Son Are Called in Gambling Probe (Update2)

By Francisco Alcuaz Jr.

June 6 (Bloomberg) -- A Philippine Senate panel summoned President Gloria Arroyo's husband, son and brother-in-law to testify before a joint committee hearing after a witness linked them and others to illegal gambling operations in the country.

The two Senate committees holding joint hearings on illegal gambling summoned politicians and police and military officials whom witness Richard Garcia today said had links to the activity. The summons should include ``the relatives,'' said Senator Juan Ponce Enrile, who asked for the subpoenas.

Garcia, who said he helped military authorities organize gambling operations and collections, said ``Attorney Mike'' of ``Malacanang'' helped relieve a colonel involved in a fight over collections with a provincial governor. Jose Miguel Arroyo, the president's husband, is often called ``Attorney Mike.'' Malacanang is the presidential compound in Manila.

The Senate is investigating jueteng, a popular and illegal form of gambling, amid local media reports that some politicians, including Arroyo's husband and congressman son, were receiving protection money. Similar allegations helped oust former President Joseph Estrada in 2001, paving the way for then Vice President Arroyo to take power.

Garcia also said Arroyo's son, Congressman Juan Miguel Arroyo, and her husband's brother, Congressman Ignacio Arroyo, were involved in illegal gambling. Last week, self-proclaimed illegal gambling operator Wilfredo Mayor said he paid 600,000 pesos ($11,000) a month to a man who said he was collecting for Arroyo's son. Aside from the governor, Garcia also named other politicians and military and police officials. Neither Garcia nor Mayor presented documentary evidence, nor did they say they met with the Arroyos.

`Negative Repercussions'

The allegations have ``negative repercussions on our country's image in the area of graft and corruption,'' Finance Secretary Cesar Purisima said in a statement. ``Our efforts to create a healthier economic environment and attract investment may be hampered.''

Arroyo's spokesman, Ignacio Bunye, didn't answer four calls and messages seeking his comment. Her husband's spokesman, Jesus Santos, twice declined to comment. Her son's chief of staff, Antonio Almeda, denied the allegations. Her brother-in-law's chief of staff, Edgar Ruado, didn't return two calls.

Arroyo's popularity slumped to a record last week amid the current allegations and after congress approved tax increases to narrow the budget deficit and to reduce debt, and regulators allowed public transport companies to raise fares.

Arroyo's net satisfaction rating fell to -33, Social Weather Stations, one of the country's two biggest pollsters, said on its Web site on June 3. That was the lowest rating for a Philippine president since Social Weather began conducting surveys in 1986. The latest poll, which surveyed 1,200 people from May 14-23, has a margin of error of 3 percentage points.

To contact the reporter for this story: Francisco Alcuaz Jr. in Manila falcuaz@bloomberg.net

Last Updated: June 6, 2005 03:25 EDT